Question
ABC Ltd. is a retailer that sells a variety of products. The company uses the perpetual inventory system and the weighted average cost method. The
ABC Ltd. is a retailer that sells a variety of products. The company uses the perpetual inventory system and the weighted average cost method. The following information pertains to the company's purchases and sales for the month of August:
| Date | Transaction | Quantity | Cost per unit | Total cost |
|---|---|---|---|---|
| Aug 1 | Beginning inventory | 100 | $10 | $1,000 |
| Aug 5 | Purchase | 200 | $12 | $2,400 |
| Aug 14 | Sale | 150 | - | - |
| Aug 18 | Purchase | 300 | $14 | $4,200 |
| Aug 25 | Sale | 250 | - | - |
Calculate the company's cost of goods sold and ending inventory for the month of August.
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Fundamental financial accounting concepts
Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward
8th edition
978-007802536, 9780077648831, 0078025362, 77648838, 978-0078025365
